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Samsung named the 4th Most Innovative Company in the World

The South-Korean multinational giant- Samsung has been voted as the fourth most innovative company in the world by Booz & Company’s annual survey of the Top 10 Most Innovative Companies. Samsung took a massive leap this year by jumping up five places from its previous year standing.

The survey was conducted by Booz & Co on nearly 700 companies. Apple still remains the world’s most innovative company in the world according to the survey, and tops the list at #1. Google stood next on the list, followed by the American multinational conglomerate- 3M.

“By incorporating avant-garde technologies like large OLED displays and NFC (near field communication) into its products, Samsung takes a different approach towards innovation than Apple. Apple’s innovation focuses rather on bringing different parts of ecosystem together and integrating them with meticulous detail.” said Reticle Research analyst Ross Rubin.

Apple is topping the Booz & Co chart since almost three years. This year, there’s been a perpetual increase in the leads than the previous years. More than 80 percent of the respondents named Apple as the world’s most innovative company. The second placed Google was the choice of nearly 43% respondents.  On the Top 10 rankings, Samsung is followed by some big names like GE, Microsoft, and Toyota, P&G, IMB, and Amazon. Facebook, which took the 10th spot on the previous year rankings, has been kicked out of the list by Amazon.

Samsung ranks #6 on R&D, way ahead of Apple which ranks #53 on the list. Apple invests only $2.4 billion in R&D, which is less than 2.2 percent of its total sales. It’s surprising how Samsung, which has developed much better products than its counterparts, lags behind Apple Inc. in the survey.

“I think Apple is a leading innovator among tech companies – but innovation comes from many companies, and it`s easy to point to clear examples from many of Apple`s competitors,” told Forrester analyst Charles Golvin. “A big distinction for Apple is the breadth of areas in which it innovates: hardware, industrial design, software, usability, retail. Many of its competitors are strong in one or more of these areas but not across the board.”

Samsung is now the world’s largest mobile phone maker, world’s second largest semi-conductor chip maker (after Intel), world’s largest television manufacturer, and also the world’s largest LCD panel manufacturer. While Apple has concentrated on perfecting just a handful of products, Samsung has succeeded in developing a wide range of versatile products (Smart TVs, Tablets, Phablets, Smartphones, Dual-core chips, and much more).

Though the ranking suggest otherwise, Samsung definitely look poised in taking over Apple’s place as the world’s most innovative company in the forthcoming years. Innovation is never about augmenting a narrow set or products; it’s about developing a wider range of products- that’s what Apple needs to understand.